ESO is delighted to announce that the new organisation will be called “National Energy System Operator” from when it is launched this summer. In the meantime, ESO will retain its name. All parties are working towards a launch date in Summer 2024.

Previously denoted as the Future System Operator (or FSO), the new National Energy System Operator (NESO) will be the independent, public corporation responsible for planning Britain’s electricity and gas networks and operating the electricity system.

It will be tasked with ensuring that Britain’s energy system is secure and affordable as well as forging the path to a sustainable future for everyone.

Introduction to NESO

Watch our short animation for an introduction to the National Energy System Operator.

Missed our NESO webinars?

If you missed our introductory webinar or our most recent webinars on the new responsibilities that NESO will be taking on across Resilience and Security, Strategic Planning and Market Development, you can watch the recorded presentations by pressing the play icon on the image or download the slides from each session using the link above the image.  

Stay in the loop on our transformation to NESO and upcoming engagement opportunities by registering for the ESO’s PluggedIn newsletter.

Introduction to the FSO

More than 700 people tuned in from across industry and Great Britain to learn more about NESO’s governance structure, its roles and responsibilities and how we are gearing up to deliver them. We also left plenty of time for questions from stakeholders which our senior leaders responded to live.

NESO Webinar: Resilience and Security

This webinar covered how NESO will establish a Directorate of Resilience and Emergency Management that will take a whole system perspective when considering resilience and security for GB.

NESO Webinar: Strategic Planning

This webinar covered how NESO will deliver national and regional energy planning bringing electricity, gas and hydrogen plans together to efficiently deliver net-zero.

NESO Webinar: Market Development

This webinar covered how NESO will drive evolution of market arrangements across the whole energy system to facilitate security of energy supply and deliver investible markets at the most equitable cost to consumers.

Why do we need NESO? 

Unparalleled change is needed across the whole system to transition away from fossil fuels and deliver clean, green affordable energy for everyone across the country.

There needs to be wider adoption of technology and changes in consumer behaviour, as well as ensuring we have the right markets, networks and frameworks in place.

Traditionally, Britain’s energy system has been split into two areas – gas and electricity – but to deliver this transformation there needs to be co-ordination across the whole energy system, with one single entity responsible for translating policy into immediate strategy. 

NESO will shift the country from a siloed approach to a whole system perspective that considers the connections between energy vectors and their relationship with the wider system.

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How did NESO come about?

In 2022, following industry consultation, Ofgem and Government decided that the country needed a new, independent organisation that would take a whole system approach to strengthen energy security, help deliver net zero and ensure household bills are affordable in the long-term. 

In October 2023, the Energy Act 2023 was passed, legislating for a Future System Operator (FSO) to be created. In Jan 2024, the ESO announced the new name for this entity as the National Energy System Operator, or NESO. 

What will NESO do? 

The new organisation will be founded on the current activities and capabilities of the Electricity System Operator, but we’ll also take on new roles with a whole system perspective across energy vectors. 

From Day 1, we will deliver additional value for the energy system across these five areas:

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What are the timelines?

NESO will be established in summer of 2024, with new roles and capability being introduced in a phased approach. Secondary legislation is required; therefore, specific timelines are subject to change. 

You can read about our indicative plan and costs to achieve the FSO in our BP2 plan.

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Get in touch

We’d love to hear your thoughts on the new roles of NESO and how the organisation can develop. 

Get in touch with us